Dow soared almost 300 points early Friday on the upbeat report card from JPM, better Chinese data, and lower USD. Disney also helped on the launch of new video streaming services, lower than Netflix (NASDAQ:) price. The (DXY) slumped almost -0.45% and made a low of 96.75 as and surged on better than expected Eurozone economic data (industrial production) and talk of 2nd Brexit referendum by the British FM Hammond.
The risk-on sentiment was boosted by better than expected Chinese export data, jumped +14.2% in March from a slump of -20.8% sequentially, higher than the expectations of +7.3%. Although, Chinese import in March slumped -7.6%, indicating slowing domestic economy, the jump in export may be undermining the present story of global gloom & doom, although it may be a function of Chinese New Year distortion. Also, the Chinese money supply and new loans growth were upbeat.
The US market was also boosted by upbeat report card from JPM amid higher NIM and solid fixed-income revenue, boosting the overall banks & financial sector, but Wells Fargo (NYSE:) faded on subdued guidance despite an earnings beat. Anadarko surged on Chevron (NYSE:)’s $33B deal, helping the overall oil & gas sector/energies, while Disney jumped after pricing its new streaming service lower than Netflix. The communication services were upbeat despite Netflix slumped on Disney disruption.
But Dow fades almost 100 points from the session high on subdued US economic data (Michigan consumer sentiment) and the concern of the US-EU trade war. As per the report, the EU Commission has drawn up a provisional list of around EUR 20B of U.S. imports for retaliatory tariffs on the Airbus-Boeing subsidy dispute.
Dow ticked down Thursday on higher USD amid less dovish Fed talks and FOMC minutes, upbeat PPI data and lingering suspense of the US-China trade